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A novel approximate Bayesian filter based on backward stochastic differential equations is introduced. It uses a nonlinear Feynman--Kac representation of the filtering problem and the approximation of an unnormalized filtering density using…

Numerical Analysis · Mathematics 2026-04-21 Kasper Bågmark , Adam Andersson , Stig Larsson

The Latent Stochastic Differential Equation (SDE) is a powerful tool for time series and sequence modeling. However, training Latent SDEs typically relies on adjoint sensitivity methods, which depend on simulation and backpropagation…

Machine Learning · Statistics 2025-06-27 Grigory Bartosh , Dmitry Vetrov , Christian A. Naesseth

We develop a multilevel approach to compute approximate solutions to backward differential equations (BSDEs). The fully implementable algorithm of our multilevel scheme constructs sequential martingale control variates along a sequence of…

Probability · Mathematics 2014-12-11 Dirk Becherer , Plamen Turkedjiev

In this paper, a class of stable explicit $\theta$-schemes are proposed for solving anticipated backward stochastic differential equations (anticipated BSDEs) which generator not only contains the present values of the solutions but also…

Numerical Analysis · Mathematics 2024-09-23 Mingshang Hu , Lianzi Jiang

In this work, we study the numerical approximation of a class of singular fully coupled forward backward stochastic differential equations. These equations have a degenerate forward component and non-smooth terminal condition. They are…

Numerical Analysis · Mathematics 2022-08-17 Jean-François Chassagneux , Mohan Yang

We propose new machine learning schemes for solving high dimensional nonlinear partial differential equations (PDEs). Relying on the classical backward stochastic differential equation (BSDE) representation of PDEs, our algorithms estimate…

Probability · Mathematics 2020-06-08 Côme Huré , Huyên Pham , Xavier Warin

New solution method for the systems of linear equations in commutative integral domains is proposed. Its complexity is the same that the complexity of the matrix multiplication.

Data Structures and Algorithms · Computer Science 2017-03-31 Gennadi Malaschonok

In this paper we propose a new kind of high order numerical scheme for backward stochastic differential equations(BSDEs). Unlike the traditional $\theta$-scheme, we reduce truncation errors by taking $\theta$ carefully for every subinterval…

Numerical Analysis · Mathematics 2018-08-08 Chol-Kyu Pak , Mun-Chol Kim , Chang-Ho Rim

Backpropagation algorithm is the cornerstone for neural network analysis. Paper extends it for training any derivatives of neural network's output with respect to its input. By the dint of it feedforward networks can be used to solve or…

Neural and Evolutionary Computing · Computer Science 2017-12-13 V. I. Avrutskiy

In this paper, we develop a kernel learning backward SDE filter method to estimate the state of a stochastic dynamical system based on its partial noisy observations. A system of forward backward stochastic differential equations is used to…

Numerical Analysis · Mathematics 2022-01-27 Richard Archibald , Feng Bao

We consider large linear and nonlinear fixed point problems, and solution with proximal algorithms. We show that there is a close connection between two seemingly different types of methods from distinct fields: 1) Proximal iterations for…

Numerical Analysis · Computer Science 2019-09-05 Dimitri P. Bertsekas

This paper gives direct derivations of the differential equations and likelihood formulas of diffusion models assuming only knowledge of Gaussian distributions. A VAE analysis derives both forward and backward stochastic differential…

Machine Learning · Computer Science 2023-03-07 David McAllester

An inverse problem in spectroscopy is considered. The objective is to restore the discrete spectrum from observed spectrum data, taking into account the spectrometer's line spread function. The problem is reduced to solution of a system of…

Numerical Analysis · Mathematics 2017-01-23 Valery Sizikov , Denis Sidorov

We develop a Bayesian inference method for discretely-observed stochastic differential equations (SDEs). Inference is challenging for most SDEs, due to the analytical intractability of the likelihood function. Nevertheless, forward…

Methodology · Statistics 2024-11-08 Petar Jovanovski , Andrew Golightly , Umberto Picchini

We introduce a new online approach for constructing proposal distributions in particle filters using a forward scheme. Our method progressively incorporates future observations to refine proposals. This is in contrast to backward-scheme…

Computation · Statistics 2026-01-23 Sylvain Procope-Mamert , Nicolas Chopin , Maud Delattre , Guillaume Kon Kam King

In this paper, we present a backward deep BSDE method applied to Forward Backward Stochastic Differential Equations (FBSDE) with given terminal condition at maturity that time-steps the BSDE backwards. We present an application of this…

Computational Finance · Quantitative Finance 2020-06-16 Yajie Yu , Bernhard Hientzsch , Narayan Ganesan

Although some preconditioners are available for solving dense linear systems, there are still many matrices for which preconditioners are lacking, in particular in cases where the size of the matrix $N$ becomes very large. There remains…

Numerical Analysis · Mathematics 2016-02-05 Pieter Coulier , Hadi Pouransari , Eric Darve

In this paper we provide novel closed-form expressions enabling differentiation of any scalar function of the Kalman filter's outputs with respect to all its tuning parameters and to the measurements. The approach differs from the previous…

Optimization and Control · Mathematics 2023-04-03 Colin Parellier , Axel Barrau , Silvere Bonnabel

In this paper, we revisit the backward Euler method for numerical approximations of random periodic solutions of semilinear SDEs with additive noise. Improved $L^{p}$-estimates of the random periodic solutions of the considered SDEs are…

Probability · Mathematics 2023-12-12 Yujia Guo , Xiaojie Wang , Yue Wu

These are course notes on the application of SDEs to options pricing. The author was partially supported by NSF grant DMS-0739195.

Mathematical Finance · Quantitative Finance 2019-01-03 Andrew Papanicolaou